Classical Glasses operates a kiosk at the local mall, selling s unglasses for $30 each. Classical Glasses currently pays $1,000 a month to rent the space and pays two full-time employees to each work 160 hours a month at $10 per hour. The store shares a manager with a neighboring kiosk and pays 50% of the manager’s annual salary of $60,000 and benefits of $12,000. The wholesale cost of the sunglasses to the company is $10 a pair. Q1. How many sunglasses does Classical Glasses need to sell each month to break even?

Hicom Goods is a distributor of videotapes. View Mart is a local retail outlet which sells blank and recorded videos. View Mart purchases tapes from Hicom Goods at £3.00 per tape; tapes are shipped in packages of 20. Hicom Goods pays all incoming freight, and View Mart does not inspect the tapes due to Hicom Goods' reputation for high quality. Annual demand is 104,000 tapes at a rate of 4,000 tapes per week. View Mart earns 20% on its cash investments. The purchase-order lead time is two weeks. The following cost data are available: Relevant ordering costs per purchase order Carrying costs per package per year: Relevant insurance, materials handling, breakage, etc., per year £90.50 £4.50 What is the required annual return on investment per package? a. £60.00 b. £2.50 C. £12.00 d. £0.60

Freshly Farms plants 80 acres of Brussels sprouts every spring. Freshly sells its sprouts to a farmers cooperative, which sells them to a wholesaler, which sells them to retailers, which sells them to consumers. The farmers cooperative buys Freshly Brussels sprouts for $0.98 per pound. The cooperative takes a 16% margin on the cooperative's selling price. The wholesaler takes a 16% markup on the wholesaler's cost. The retailer takes a 15% margin on the retailer's selling price. How much does a consumer pay to the retailer for one pound of Freshly Farms Brussels sprouts? (Rounding: penny.) ANSWER IS: 1.59, but HOW is that the answer? Please explain.

Jen and Barry's ice cream shop charges $1.45 for a cone. Variable expenses are $0.22 per cone, and fixed costs total $2,500 per month. A Valentine's Day promotion is being planned for the second week of February. During this week, a person buying a cone at the regular price would receive a free cone for a friend. It is estimated that 650 additional cones would be sold and that 850 cones would be given away. Advertising costs for the promotion would be $135. Required: a. Calculate the effect of the promotion on operating income for the second week of February. b. Do you think the promotion should occur? Complete this question by entering your answers in the tabs below. Required A Require B Do you think the promotion should occur?

Native Wood Products Ltd sells hand-made coffee tables. The shop owner has divided sales into two categories according to the type of wood used in the tables, as follows: Product type Kahikatea Rimu Sales price $2,000 $1,200 Costs $1,200 $520 Sales commission $100 $60 Seventy percent (70%) of the shop's sales are rimu tables.  The shop's annual fixed costs are $161,000. Calculate the weighted average contribution margin, assuming the sales mix stays the same.

Radig Travel offers helicopter service from suburban towns to John F. Kennedy International Airport in New York City. Each of its fourteen helicopters makes between 1,100 and 2,200 ​round-trips per year. The records indicate that a helicopter that has made 1,100 ​round-trips in the year incurs an average operating cost of $500 per​ round-trip, and one that has made 2,200 ​round-trips in the year incurs an average operating cost of $400 per​ round-trip.   Read the requirements LOADING... .   Requirement 1. Using the​ high-low method, estimate the linear relationship y=a+bX​, where y is the total annual operating cost of a helicopter and X is the number of​ round-trips it makes to JFK airport during the year.     =   +     Requirement 2. Give examples of costs that would be included in a and in b.   Begin by selecting which type of costs ​"a​" and ​"b​" ​represent, then select the costs that correlate with that cost​ type, use each cost only once.…

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Patricia's Quilt Shoppe sells homemade Amish quilts. Patricia buys the quilts from local Amish artisans for $220 each, and her shop sells them for $370 each. She also pays a sales commission of 4% of sales revenue to her sales staff. Patricia leases her country-style shop for $800 per month and pays $1,600 per month in payroll costs in addition to the sales commissions. Patricia sold 95 quilts in February. Prepare Patricia's traditional income statement and contribution margin income statement for the month. Prepare the traditional income statement for the month. Patricia's Quilt Shoppe Income Statement For the Month Ended February 28 Less: Less: A

C. W. McCall sells a goldplated souvenir mug; McCall expects to sell 2,100 units for $50 each to earn a $30 contribution margin per unit. Janice McCall, president, expects the year’s total market to be 35,000 units. For the year just completed, the local college won the national hockey championship, and as a result, the total actual market was 140,000 units. C. W. McCall sold 5,600 units and calculates sales variances using contribution margin.   What is the firm’s sales volume variance?

Native Wood Products Ltd sells hand-made coffee tables. The shop owner has divided sales into two categories according to the type of wood used in the tables, as follows: Product type Kahikatea Rimu Sales price $2,000 $1,200 Costs $1,200 $520 Sales commission $100 $60 Seventy percent (70%) of the shop's sales are rimu tables.  The shop's annual fixed costs are $161,000. Required: Calculate the unit contribution margin for each product type.